Terreno Realty Corporation · NYSE:TRNO

Terreno Realty — Q2 2016 Earnings Presentation

19 slides from Terreno Realty's earnings presentation, Jul 27, 2016

  1. Slide 1: Terreno Realty Corporation Q2 2016 Update

    Terreno Realty Corporation Q2 2016 Update July 27, 2016

  2. Slide 2: Forward Looking Statements

    SACRAMENTO2013\Investor Presentation\Terreno Realty Roadshow Presentation (July 10, 2013) v7.pptx Forward Looking Statements This presentation contains forward-looking statements within the meaning of the federal securities laws. All statements other than statements of historical fact are forward-lo

  3. Slide 3: Investment Strategy

    SACRAMENTO2013\Investor Presentation\Terreno Realty Roadshow Presentation (July 10, 2013) v7.pptx Investment Strategy Unique and Highly Selective Focus on Functional Assets Market Approach in Infill Locations  Acquire, own and operate industrial real estate in six  Broad product opportunity set(1)

  4. Slide 4: Recent Highlights

    SACRAMENTO2013\Investor Presentation\Terreno Realty Roadshow Presentation (July 10, 2013) v7.pptx Recent Highlights Occupancy Operating Highlights Portfolio Same Store  Cash rents on new and renewed leases commencing during the three and six months ended June 30, 2016 increased approximately 11.2%

  5. Slide 5: Current Portfolio Overview

    SACRAMENTO2013\Investor Presentation\Terreno Realty Roadshow Presentation (July 10, 2013) v7.pptx Current Portfolio Overview Key Metrics(1) Current Portfolio by Geography (2) Square Feet 11.2 Million Seattle 12.5% Number of Buildings 153 Northern New Jersey / New York City 24.0% San Francisco Bay Ar

  6. Slide 6: Terreno’s Submarket Focus

    SACRAMENTO2013\Investor Presentation\Terreno Realty Roadshow Presentation (July 10, 2013) v7.pptx Terreno’s Submarket Focus Terreno Portfolio (4) Market Shrinking Supply (1) No Net New Supply (2) New Supply (3) Los Angeles LAX South Bay Inland Empire West Shrinking West of 405 Commerce/Vernon Inland

  7. Slide 7: Selected Recent Acquisitions

    SACRAMENTO2013\Investor Presentation\Terreno Realty Roadshow Presentation (July 10, 2013) v7.pptx Selected Recent Acquisitions  Purchase Price: $8.2 million  Estimated Stabilized Cap Rate: 7.9% New Ridge  Size: An improved land investment containing 13.4 acres, Road of which 8.7 acres are paved 

  8. Slide 8: Selected Examples of Value Creation

    SACRAMENTO2013\Investor Presentation\Terreno Realty Roadshow Presentation (July 10, 2013) v7.pptx Selected Examples of Value Creation  In addition to the acquisition and operation of core properties, Terreno also focuses on value add projects. Since its IPO, approximately half of Terreno’s acquisit

  9. Slide 9: Value Creation – Capital Recycling

    SACRAMENTO2013\Investor Presentation\Terreno Realty Roadshow Presentation (July 10, 2013) v7.pptx Value Creation – Capital Recycling  Property: Sweitzer  Location: Laurel, MD  Size: One building, 85,000 SF on 6.9 acres  Acquisition Price: $7.0 million, $82 PSF ($23 per land SF) in October 2012 

  10. Slide 10: Value Creation – Redevelopment

    SACRAMENTO2013\Investor Presentation\Terreno Realty Roadshow Presentation (July 10, 2013) v7.pptx Value Creation – Redevelopment BEFORE  Property: South Main  Location: Carson, CA  Acquisition size and price: Three industrial buildings totaling 186,000 SF and one 34,000 SF office building on 14.3

  11. Slide 11: Market Leading Corporate Structure

    SACRAMENTO2013\Investor Presentation\Terreno Realty Roadshow Presentation (July 10, 2013) v7.pptx Market Leading Corporate Structure Management Alignment Corporate Governance  Executive Team’s long-term incentive  Majority independent directors with diverse compensation fully aligned with stockhol

  12. Slide 12: Key Takeaways

    SACRAMENTO2013\Investor Presentation\Terreno Realty Roadshow Presentation (July 10, 2013) v7.pptx Key Takeaways  Focused strategy – Six major coastal US markets exclusively – Flexible and functional assets in infill locations  Acquisition opportunities across our target markets at discounts to rep

  13. Slide 13: Appendix

    SACRAMENTO2013\Investor Presentation\Terreno Realty Roadshow Presentation (July 10, 2013) v7.pptx Appendix 13

  14. Slide 14: Appendix: Statements Of Operations

    SACRAMENTO2013\Investor Presentation\Terreno Realty Roadshow Presentation (July 10, 2013) v7.pptx Appendix: Statements Of Operations CONSOLIDATED STATEMENTS OF OPERATIONS For the Three Months Ended June 30, For the Six Months Ended June 30, 2016 2015 2016 2015 REVENUES Rental revenues $ 20,515 $ 19,

  15. Slide 15: Appendix: Net Income, FFO and Adjusted FFO

    SACRAMENTO2013\Investor Presentation\Terreno Realty Roadshow Presentation (July 10, 2013) v7.pptx Appendix: Net Income, FFO and Adjusted FFO For the Three Months Ended June 30, For the Six Months Ended June 30, NET INCOME, FFO AND ADJUSTED FFO 2016 2015 2016 2015 Total revenues $ 25,817 $ 24,237 $ 5

  16. Slide 16: Appendix: Supplemental Components of NAV

    SACRAMENTO2013\Investor Presentation\Terreno Realty Roadshow Presentation (July 10, 2013) v7.pptx Appendix: Supplemental Components of NAV For the Three Q2 2016 Acquisitions Months Ended June COMPONENTS OF NET OPERATING INCOME 30, 2016 Purchase Estimated Total revenues $ 25,817 Price Stabilized Leas

  17. Slide 17: Appendix: Same Store and Disposition Results

    SACRAMENTO2013\Investor Presentation\Terreno Realty Roadshow Presentation (July 10, 2013) v7.pptx Appendix: Same Store and Disposition Results For the Three Months For the Six Months Ended Ended June 30, June 30, (1) SAME STORE GROWTH 2016 2015 $ Change % Change 2016 2015 $ Change % Change Net incom

  18. Slide 18: Appendix: Reporting Definitions

    SACRAMENTO2013\Investor Presentation\Terreno Realty Roadshow Presentation (July 10, 2013) v7.pptx Appendix: Reporting Definitions Adjusted Funds from Operations (AFFO): We compute AFFO by adding to or subtracting from FFO (see definition below) (i) acquisition costs (ii) stock-based compensation (ii

  19. Slide 19: Appendix: Reporting Definitions

    SACRAMENTO2013\Investor Presentation\Terreno Realty Roadshow Presentation (July 10, 2013) v7.pptx Appendix: Reporting Definitions Net Operating Income (NOI): We compute NOI as rental revenues, including tenant expense reimbursements, less property operating expenses. We compute same store NOI as ren

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